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Evaluation of the application of Regulation E to EBT systems : preliminary findings

Kirlin, John A., United States Department of Agriculture. Food and Consumer Service. Office of Analysis and Evaluation., and Abt Associates
Electronic funds transfers -- United States, Electronic benefits transfers -- United States, Banks and banking -- United States, laws and regulations, operating costs, banking, Supplemental Nutrition Assistance Program, and United States
The Electronic Funds Transfer Act governs the operations of commercial debit card networks. Regulation E establishes a framework of legal rights and responsibilities for card issuers and card holders in electronic fund transfer systems. EBT systems delivering direct federal payments have been operating under Regulation E for several years. These systems serve clients without existing bank accounts by establishing client-owned accounts with a financial institution that serves as the EBT vendor. EBT systems also deliver cash assistance or food stamp benefits. This report focuses on the concern of program administrators that Reg E will increase EBT operating costs, making it no longer a cost-effective alternative to issuing paper checks and food stamp coupons.
U.S. Dept. of Agriculture, Food and Consumer Service, Office of Analysis and Evaluation
USDA publications